Dr. Ojo Ajanaku, National President of the National Cashew Association of Nigeria (NCAN), has accused proponents of a Bill to ban raw material exports in the agricultural sector of aiming to undermine Nigeria’s cashew industry. He claims the move is designed to force farmers to sell cashew nuts cheaply to local processors rather than exporting them. In an interview with Sunday Vanguard, Ajanaku urged the National Assembly to reject the Bill, warning that its passage would devastate the industry and leave farmers in dire straits. Instead, he proposed a Special Agro-processing Loan (SAPL) with a 3-5% interest rate to attract investors into cashew processing, rather than imposing an export ban.
On Nigeria’s Agricultural Value Chains and Exports
As the head of NCAN, a statutory body representing Nigeria’s cashew sector, Ajanaku speaks for millions of Nigerians, particularly the over 50 million employed in the industry’s value chain, with 5 million being farmers. Nigeria boasts 92 million hectares of land, of which over 30 million remain non-farm land—often hideouts for criminals—while Ivory Coast, with 32 million hectares, outproduces Nigeria in cashew and cocoa. Under President Bola Tinubu’s administration, agricultural diversification and poverty alleviation are priorities, supported by the National Agriculture Development Fund (NADF). With Nigeria’s population nearing 250 million and projected to rank among the world’s top four in 20-30 years, Ajanaku views export restrictions as politically motivated, clashing with government efforts to boost agriculture. He emphasizes that agriculture is a business, with farmers as the backbone, and criticizes policy inconsistencies. Processing involves primary stages (sorting, drying, bagging) and secondary stages (kernel extraction), but high funding costs and seasonal production—cashew harvests span February to May—pose challenges.
On Cashews Demand Patronage with Government Supporting Processors
Processors must store cashew nuts for 300 days annually, a feat hindered by Nigeria’s 34% bank interest rates compared to the sub-5% loans offered abroad. Ajanaku advocates for incentives like the SAPL, with banks like NEXIM and Fidelity exploring options to lower processing costs and enhance global competitiveness.
On How Cashew Farms Can Generate Over 30,000 Jobs per 10,000 Hectares
A processor farming 10,000 hectares could create over 30,000 jobs, as each hectare requires 3-5 workers. With current production spanning 358,000 hectares, the potential for employment is significant.
On Aggressive Seedling Propagation, Targeting 2 Million Metric Tonnes
NCAN is distributing 150,000 free seedlings to boost production toward a 2 million metric tonne target within 10-15 years, contingent on government support to accelerate this timeline.
On Cashew Trees Over 60 Years Old, Needing Replacement
Many Nigerian cashew trees, aged 60-61 years, are past their productive life. Ajanaku calls for new plantings using available government funds like the CBN intervention and Bank of Industry schemes, aligning with the Africa Continental Free Trade Agreement (AfCFTA) to attract investors.
Nigeria Needs Cashew Production, Not to Kill It
Ajanaku laments the removal of subsidies on kerosene, diesel, and petrol, and a proposed 5% tax on petroleum products from January 1, 2026, which burdens farmers who rely on head-carrying goods to market, earning N2 million per tonne. He questions why farmers should subsidize processing and urges government protection of their welfare.
Govt Needs Reliable Data of Cashew Farmers
NCAN’s farmers app aims to provide data for better loan planning, like the SAPL, to encourage processing and global competitiveness.
Foreigners Conniving to Ban Cashew Exports from Nigeria
Ajanaku alleges foreign processors, using Nigerian proxies, are pushing the ban to block local competition, noting no country industrialized by penalizing farmers—unlike America, where farmers are among the richest.
Speedy Reading of Bill to Ban Cashew Exports Unacceptable
The Raw Materials Research and Development Council (RMRDC) Bill, swiftly passed by the Senate and awaiting House ratification, lacked public hearings, including Ajanaku’s input. He rejects foreign-drafted policies, including a GIZ-sponsored Cashew Roadmap promoting GMOs, and demands a national review process.
NASS Drop Bill Banning Raw Materials Export
Ajanaku calls on the National Assembly to reverse the Bill and redirect RMRDC to its core mandate, engaging stakeholders for sustainable solutions.
